Grant Agreements

9 Months Ended

Sep. 30, 2025

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Grant Agreements

Grant Agreements

Gates Foundation Grants

The Company has entered into various grant agreements with the Gates Foundation (formerly known as the Bill & Melinda Gates Foundation), under which it is currently awarded grants to support its HIV vaccine program, HIV vaccinal antibody program and malaria vaccinal antibody program. Certain grant agreements expired during the first half of 2025. The term of the remaining grant agreement will expire mid 2027, unless terminated earlier by the Gates Foundation for the Company’s breach, failure to progress the funded project, in the event of the Company’s change of control, change in the Company’s tax status, or significant changes in the Company’s leadership that the Gates Foundation reasonably believes may threaten the success of the projects.

Concurrently with the execution of the grant agreement for the vaccinal antibody program, the Company entered into a stock purchase agreement with the Gates Foundation, under which the Gates Foundation purchased 881,365 shares of the Company’s common stock on January 13, 2022, at a price per share of $45.38, for an aggregate purchase price of approximately $40.0 million. The fair market value of the common stock issued to the Gates Foundation was $28.5 million, based on the closing stock price of $37.65 per share on the closing date and taking into account a discount for the lack of marketability due to the restrictions in place on the underlying shares, resulting in a $11.3 million premium received by the Company. The Company accounted for the common stock issued to the Gates Foundation based on its fair market value on the closing date and determined that the premium paid by the Gates Foundation should be included in deferred revenue.

In August 2024, the Company announced a strategic realignment that included phasing out certain research programs, which included the HIV vaccine program and the tuberculosis vaccine program in part funded by Gates Foundation grants. The Company continues to pursue a cure for HIV in collaboration with the Gates Foundation which was in part funded by the vaccinal antibody program grant. In the third quarter of 2025, the vaccinal antibody program grant was not extended and as a result, the Company returned $9.5 million of unused grant funds to the Gates Foundation.

Payments received in advance that are related to future research activities along with the aforementioned premium received are deferred and recognized as revenue as the required research and development activities are performed. The Company recognized grant revenue of $0.3 million and $1.6 million for the three months ended September 30, 2025 and 2024, respectively, and $1.7 million and $3.8 million for the nine months ended September 30, 2025 and 2024, respectively. As of September 30, 2025 and December 31, 2024, the Company had deferred revenue of $9.4 million and $11.1 million, respectively. As of September 30, 2025 and December 31, 2024, the Company had $2.1 million and $11.6 million, respectively, within accrued and other liabilities, related to funds to be refunded to the Gates Foundation.